Google’s primary source of profit is search-related advertising while Apple’s is consumer hardware. And Google’s five-front assault on Apple’s profit model takes advantage of that difference.
Here are five of Apple’s fronts and how Google is attacking them:
Apple lags and has lost share in high end smartphones where 426 million units were sold during the first three months of the year. Gartner reported that in the first quarter of 2013, Apple’s global share of the high-end mobile phone market declined from 22.5% in the 2012 period to 18.2%.
Apple is number two to Samsung — which supports Google’s Android operating system. Samsung’s market share increased from 27.6% to 30.8% in the first quarter of 2013.
Android has already taken the tablet market lead from Apple. IDC expects Android to control 60% of the tablet market by the end of June 2013.
It wasn’t always so gloomy for Apple’s iPad. After all in the second quarter of 2012, the iPad commanded over 60% of the tablet market — but that figure has dropped ”to around 40% in each of the third and fourth quarters of 2012 and the first quarter of 2013,” reports Venturebeat.
And Android has been gulping iPad’s market share. Venturebeat notes that between the first quarter of 2012 and the first quarter of 2013, Apple swapped the lead with Android — in 2012 Apple outsold Android by 11.8 million to 8 million; while in that same period in 2013, Android trumped the iPad by 27.8 million to 19.5 million.
Moreover, IDC expects skies to darken for the iPad. In the second quarter of 2013, IDC believes that Apple will ship fewer than 19.5 million units because Apple is not launching what CEO, Tim Cook, called its “amazing” new hardware until “fall 2013 and throughout 2014.” Thus IDC expects Apple to ship between 17 million and 18 million iPads — leaving Android tablets with 60% of the market in Q2 2013.
When it comes to competing with Android smartphones and tablets, Apple can either cut price and slash its profits or hold its prices and win fewer new customers. Cook has yet to prove that Apple can innovate its way out of that profit-growth dilemma.
3. Apple Maps
Under a year after Apple removed Google Maps from the iPhone, Google introduced a new version that is simpler and can be customized to each user.
By sharing what Google knows about each individual from other services, Google can customize maps. According to the New York Times, “When users who are logged into Google visit Maps, they will see the places they frequently visit highlighted, like restaurants, museums and their home. Google learns the places they go by drawing information from all of Google’s services — including search and Maps history, Google Plus posts and information in users’ Gmail in-boxes.”
Bernhard Seefeld, the product management director for Google Maps, bragged to the Times, “We can build a unique map for every place and every click.” For those who are worried about Google knowing too much about them, this new service is creepy — but potentially useful.
Meanwhile, the memory of Apple Maps six most epic fails lingers.
Google is going after music streaming through the introduction of Google Play Music All Access (GPMAA) — a service that lets users stream music using Google Play for Android. For $9.99 a month, GPMAA combines “users’ current Play collections with access to millions of additional songs,” according to Fortune.
Meanwhile, Google was able to secure content deals with three major record labels—Universal Music, Sony, and Warner Music Group — and beat Apple to market with the streaming service that iTunes has long-been rumored to be developing, says Fortune.
The most important front where Google is trouncing Apple is innovation. To be fair, under Steve Jobs, Apple’s approach to innovation was to introduce a much better product in an established industry. The result was big success from great products like the iPod, iPhone, iPad, and iTunes.
But Google Glass’s big media splash suggests that creating entirely new categories of products can also be a way to spur growth. We can also speak about the Google Cars that can for sure impact also IT solutions.
Google certainly needs help there — since its traditional markets are slowing down.But it looks like Google is winning the war for the future: Google is offensive and Apple only defensive.
- Google’s Five-Front Assault on Apple (forbes.com)
- Who can rescue Google Wallet? Apple. (sivag1.wordpress.com)
- Google’s Five-Front Assault On Apple (soshitech.com)
- Google’s Getting Its Game (Console) On (newsy.com)
- Report: Google developing an Android-powered console (polygon.com)
- Why Apple, Google want to make consoles (stuff.co.nz)
Since 2001, the National Science Foundation has invested more than $130 million to support ADVANCE projects at nearly 100 institutions of higher education and STEM-related, not-for-profit organizations across the U.S. CONNECT@RIT (Creating Opportunity Networks for Engagement and Collective Transformation) focuses on improving conditions for female STEM faculty, with a unique emphasis on women who are deaf and hard-of-hearing at the university. RIT (Rochester Institute of Technology) will address issues of recruitment, retention and advancement of female faculty through reassessment of some of its academic and human resource policies, expanding a newly established faculty mentoring program and increasing professional development and leadership opportunities.
Part of the NSF research included looking inward at RIT where a climate survey and examination of HR data trends led to the identification of barriers for women faculty. These ranged from the recruitment and advancement of women faculty to balancing work and life. RIT had only 23 percent of its female tenured and tenure track faculty in STEM disciplines, below the 30 percent average represented in U.S. colleges and universities, even though the number of female faculty had tripled at RIT over a 15-year period. Further data revealed gender-based, average salary gaps existed at each faculty rank, and that women left the faculty ranks at a rate nearly twice that of their male colleagues. These findings mirrored national trends for women in STEM careers in academia and in industry.
Among the Connect@RIT project goals includes attracting 30 percent female applicants for RIT STEM faculty positions, at least 75 percent of STEM departments achieving a critical mass of female faculty, retention rates for female faculty that closely mirror those of male faculty, and an increase in the percentage of women in academic leadership positions to a level which maps to their overall representation at RIT. The finish line for the project is five years out and the researchers have plenty of work ahead. But we are confident they will have a similar finish to last year’s race team.
In summary, a diverse and inclusive workforce is crucial for attracting and retaining top talent. This is especially true for colleges and universities, like RIT, that specialize in innovation. RIT has historically been a leader in developing new technologies, systems and approaches. RIT faculty and research teams often partner with business and industry leaders on research and development initiatives. In order to effectively continue in this capacity – to cultivate the best and brightest minds and to be an innovation resource for industry – everybody must proactively encourage diversity.
Diversity isn’t an altruistic aspiration; it’s a competitive demand.
- Article from Bill Destler, president of RIT (huffingtonpost.com)
- Women in STEM: Academics’ Advice for Young Women (nerdwallet.com)
- STEM Programs for Women (nerdwallet.com)
- CUNY Faculty Vote No Confidence in Transfer Program (insidehighered.com)
- Harvard Faculty Request Faculty Oversight of HarvardX (Their Usage of edX) (mfeldstein.com)
- Sigma-Aldrich Awards Grant to Girlstart, Supporting Its Nationally-Recognized Summer and After School STEM Program (prweb.com)
- Columbiana University Seeks to Improve Its Curriculum Through Biannual Faculty Meetings (prweb.com)
Launching a sustainable business goes well beyond learning how to draft a business plan or fill out a financing application.
It involves a range of skills, both “hard” and “soft”, such as managing a start-up enterprise, motivating employees, assembling a cohesive team, tailoring a product to a well-defined market, adapting rapidly to fast-changing circumstances and consumer sentiment, and understanding how to convert an interesting technology into a viable business. These skills are not acquired, and nor can businesses succeed, in a vacuum. They need a business “ecosystem”, where potential entrepreneurs can learn the right skills and innovation is both encouraged and nurtured. For the Middle East and North Africa (MENA), this will require a change in the cultural attitude toward entrepreneurship.
Nascent ecosystem emerging in MENA
A nascent ecosystem has been emerging in MENA over the past five years. The few businesses that have achieved success in this evolving environment were private sector led, usually by members of the diaspora or those who had either studied or started a business abroad. These individuals come equipped with access to international networks and markets and they have clear incentives to see their ventures succeed. They invest their time as well as their money; key ingredients for a successful business ecosystem that need to be further encouraged. Governments need to know that strengthening innovation-led growth entails understanding and promoting investments in research and development (R&D), cultivating the necessary skills, putting in place a functional and effective business environment and the mechanisms to foster private and public collaboration.
Two initiatives from World Bank
The World Bank has launched two initiatives to support the fledgling ecosystem and help foster innovation and entrepreneurship in MENA. “Supporting the Ecosystem for Fostering a Dynamic Entrepreneurship” is funded by a Bank Development Grant Facility that supports regional partnerships for development. The program leverages a partnership between two leading regional incubators Oasis500 and Wamda to boost the support they already provide to pre and early start-ups across the region. In addition to expanding mentorship, skills development and access to investors, the incubators will also engage stakeholders (governments, universities, investors, other incubators) in each country as a means of expanding the partnership and broadening the transfer and exchange of critical knowledge and skills. Outreach is an important component and will include dissemination of success stories and “lessons learned.” To ensure they reach a diverse audience, a variety of media and platforms will be used, such as popular web sites, an Arabic Entrepreneurship Newsletter, comics, info graphics, cartoons and videos. Particular attention will be paid to rural areas and to groups who tend not to see themselves as entrepreneurs, such as women and youth. The Bank continues to seek funding and partnerships with other entities that have a track record of supporting entrepreneurship and building this capacity in the region.
The second initiative works at the policy level. The World Bank, the private sector, academia, think tanks, civil society experts and governments formed a community of practitioners to cultivate change through innovation and technology. “The How-to of Innovation, Technology and Entrepreneurship” (ITE) was launched last year in Prague. It is a practitioners’ exchange, networking and learning activity. Its goal is to help countries in the region advance policies that promote the various elements required for a thriving, innovative economy. It provides an opportunity for the exchange of operational lessons from other countries on the “how” of public support in this area.
- Jamaica: hub of innovation in Caribbean? (worldofinnovations.net)
- Hello High Potential Global Women Entrepreneurs! (womenentrepreneursgrowglobal.org)
- Whodini Expands Offerings With Grappple Acquisition (prweb.com)
- Cultivating an Entrepreneurial Community as a Student Leader (studentambassadorsusa.com)
- Govt’s role sought in promoting women entrepreneurship (dawn.com)
- “Pi Slice and the Heavy Weights” Our First Visit at the WEF (pi-slice.com)
By Derrick Harris (courtesy GigaOm)
photo: Shutterstock / Sergey Nivens
Summary:WalmartLabs has acquired a predictive analytics startup called Inkiru to bolster its ability to create better customer experiences through data. The division of Walmart was created in 2011 on a foundation of big data.
Walmart, it seems, will not go gently into that good night when it comes to the company’s fight against e-commerce giant Amazon.
Inkiru has developed an active learning system that combines real-time predictive intelligence, big data analytics and a customizable decision engine to inform and streamline business decisions
Predictive intelligence bought by WalmartLabsInkiru‘s predictive analytics platform will enable us to further accelerate the big data capabilities that @WalmartLabs has propelled forward at scale…including site personalization, search, fraud prevention and marketing. Walmart’s data scientists will now be able to work with big data directly and create impact faster than ever before.
Related VideoWalmart Labs Inkiru - A Funny Name for Serious Analytics (SiliconANGLE)
- WalmartLabs keeps getting smarter with Inkiru acquisition (gigaom.com)
- We Predict Big Data Will Move Much Faster (walmartlabs.blogspot.com)
- New Report Shows How to Turn Big Data into Big Bucks (domo.com)
- Walmart Labs Buys Data Analytics And Predictive Intelligence Startup Inkiru (techcrunch.com)
- Walmart snaps up big data startup Inkiru (zdnet.com)
Innovation is a big corporate buzzword, and it’s one of the hottest topics on this blog. That’s because it’s one of the biggest mysteries to business leaders. A new study from Accenture, “Why Low Risk Innovation Is Costly,” revealed that fewer than one in five chief executives believes their company’s strategic investments in innovation are paying off. Because of the high percentage of failure, nearly half of the executives surveyed said their companies were less likely to risk implementing breakthrough ideas.
Innovation only happens in the right environment, one where everyone is not only allowed to innovate, but they are actively encouraged to speak up and bring new ideas to the table. This may sound like common sense, but it is far from common practice. How do you create an innovative environment?
- Innovation only comes by invitation. Invite people to bring forth their new ideas. True innovation takes place when people are free to raise ideas, take ownership of them, and then implement them. If people are required to ask permission for every step they take, they will stop asking permission.
- Innovation is not a solo sport, it requires a group of players with skills specific to the effort. Many companies appoint an innovation department or hire a chief innovation officer, which can make innovation just another stovepipe in the organization. The message this sends to your organization is that innovation is “their job” and “not mine” – siloed off. While an idea may come from one individual, it’s the cross-functional creativity, trust, and collaboration that bring innovation to life.
- Encourage everyone to put their ideas to test fast, fail fast, and then reiterate. If people wait for perfection before they put the idea to work, the effort will lose steam before it ever gets off the ground.
- Value the lessons taken from failure as much as your successes, and apply those lessons toward each new attempt. This makes it safe for everyone to innovate. The idea is not to encourage failure but to foster innovation that leads to winning success as rapidly as possible.
- Ensure this behavior gets modeled at every level, from the very top to individual contributor. That means the senior leaders must be actively involved, not just mandating the change.
- Resist the desire to project manage your way to innovation. It cannot be generated by focusing solely on budgets, resources, and timelines. If you try, you can guarantee your innovation investment will be wasted.
- IT Innovation: is outsourcing possible? (worldofinnovations.net)
- CMiC Innovation Award Contest 2013 – Submit for a Chance to Win for Your Charity! (prweb.com)
- Week in Review: Dell, Innovation, and Clean Energy (axialmarket.com)
- Six Steps to a Smarter Start-Up (inc.com)
- Chief Innovation Officer (leticiacaminero.com)
- Guest Post: 4 Ways to Turn Your Company Into an Innovation Machine (marenhogan.wordpress.com)
by Lorenzo Franceschi-Bicchierai (courtesy mashable)
President Barack Obama thinks American students aren't connected enough, and that access to faster Internet connections and technologies is crucial in today's schools. That's why he wants to make sure that 99% of students have high-speed broadband access within the next five years.
"We are living in a digital age, and to help our students get ahead, we must make sure they have access to cutting-edge technology," Obama said in a statement published by the White House.
- Pres. Obama wants high-speed Internet in schools by 2018 (fox6now.com)
- News News - Obama Wants to Upgrade 99% of Students to High-Speed Internet by 2018 (comeusmedia.wordpress.com)
- Obama wants high-speed Internet in schools by 2018 (wqad.com)
- Obama Wants to Upgrade 99% of Students to High-Speed Internet by 2018 (mashable.com)
4-day visit to Santiago on Innovation
A 12-person delegation, headed by Julian Robinson, minister of state in the Ministry of Science, Technology, Energy and Mining, has just returned from a four-day visit to Santiago, Chile, to see first-hand how that country is developing a robust ecosystem for entrepreneurship and innovation.
The primary purpose of the mission was to visit Start-up Chile (SUP), a government-financed programme launched in August 2010 to attract early-stage, high-potential entrepreneurs to bootstrap their ventures in Chile, without taking equity in the firms.
Its goal was to convert Chile into the innovation and entrepreneurial hub of Latin America, akin to other centres of innovation in the world, particularly the Silicon Valley.
The Jamaican group was particularly thrilled to meet the founder of SUP, Nicolas Shea, a Stanford-educated entrepreneur who was recruited by the then minister of economy, Juan Andrés Fontaine, to join his staff as his entrepreneurship adviser. Only days after Shea relocated to Chile, a massive earthquake struck in February 2010, causing more than $15 billion in damages.
Today, after two and a half years, SUP is a highly successful programme that supports both foreigners and Chileans to create innovative ventures using much the same model as it did in 2010 with some minor changes to enhance its effectiveness.
Now, 40 per cent of the applications received are from Chile, but it is clear that the original objective of importing talent with a view to changing the entrepreneurial culture is still very much at the forefront of the programme.
To understand SUP innovative program
With a current budget of US$12 million per year, funded by Chile’s economic development agency CORFO, which is itself funded by a tax on mining companies operating in Chile, SUP can boast some impressive results.
Today, it has received 5,600 applications from 70 countries, admitted more than 1,000 entrepreneurs from 53 countries, and a host of social impacts – almost 600 “meet-ups” organised by SUP and participants or “suppers”, and 3,790 hours of mentorship provided by suppers. Additionally, there are all kinds of spin-off programmes supporting entrepreneurship and innovation and a global rush to emulate the programme’s design elements and impacts.
SUP has also created strong links to local and international companies and entrepreneurs, the global investor community, local and international universities and other programmes in Chile.
We visited one facility, Wayra, a tech incubator operated by Telefónica that incubates 10 companies for 10 months. The incubator manager, Claudio Barahona Jacobs said that Wayra wants to support international start-ups to capture the “winds of talent blowing” in its midst.
Wayra makes a direct investment of US$50,000 in each company in three parts: an initial sum and the other two tranches when agreed milestones are achieved. The investment is in the form of convertible notes. The incubator provides space and services, coaching in how to make a pitch to investors, how to run a company, to hire people and be a boss.
The entrepreneurs we spoke to said that the coaching was one of the most important elements of the programme, and they also participate in management courses run in collaboration with a local university.
Critical is making business links with Telefónica itself, using the company as a distribution channel or as a first customer, testing the applications developed by the entrepreneurs.
Telefónica has 11 million customers in Chile who have smartphones and 300 million business and consumer customers in 30 countries worldwide, so the company is a vital link to this huge market for mobile apps and business applications for its incubator clients.
Optimistic about Jamaica
SUP’s founder, Nicolas Shea, is optimistic about Jamaica and encouraged the group to adopt and adapt the best elements of the SUP programme. The World Bank and Minister Robinson plan to invite Shea and a number of the Chileans whom we met to Jamaica, later in the year, to continue discussions with a wider group of stakeholders.
Everyone on the mission agreed that Jamaica has the opportunity to replicate some of the successful elements of the Start-up Chile programme. Jamaica has talented and technologically savvy young people who are eager to tap into the global demand for creative applications that solve real-world business and social problems.
In so doing, they create their own employment. We have the interest and support of international development partners including the World Bank to finance initiatives that will support the growth of the Jamaican economy. It is an opportunity to forge public-private partnerships to provide early stage and venture capital financing for SMEs, mentorships and access to markets. But will our leaders champion such efforts to move us beyond mere talk? And will we collectively have the courage to act now to secure the future of our nation?
- Start-Up Chile: See Why Many Americans are Itching to Enter This Early-Stage Accelerator (youngentrepreneur.com)
- Wayra seeks 10 digital start-ups for Dublin incubator (siliconrepublic.com)
- Vanessa Van Edwards: Start-Up Chile: Growing Pains of the Chilecon Valley (huffingtonpost.com)
- Jamaica – the hub of innovation and entrepreneurship in the Caribbean? (emergingfrontiersblog.com)
- New Irish venture Reverbeo selected for Start-up Chile programme (siliconrepublic.com)
- Twin Cities-based Exotic Wood Chips LLC becomes Sole US Importer of Jamaican Pimento Wood, Leaves and Charcoal (prweb.com)
- The lure of Chilecon Valley (oguz.me)
- Wayra Dublin start-up accelerator makes last call for new entries (siliconrepublic.com)